The general insurance and financial services operations of the Lumley Group in Australia and New Zealand are for sale. The intention to sell the British-based company’s local assets was announced at noon today by Edward Lumley Holdings Chairman and CEO Anthony Crichton-Brown.

He said the decision by the 100-year-old group’s shareholders – primarily five trusts controlled by members of the Lumley family – to “pursue a sale” of the Australian and NZ operations, follows approaches from “interested buyers” in recent months. The sale will include Lumley Technology.

Mr Crichton-Brown told Sunrise Exchange News this afternoon that the assets are being offered in one group, with the intention not to break it up. “We want to keep the business in Australia and NZ intact,” he said. The group’s 978 staff were told of the action this morning.

He said the trustees’ decision to sell the 100-year-old company’s local operations reflects the changing needs of the shareholders. “Things change,” he said

The decision to sell the 10^th-largest insurer was a surprise to most in the market, and reflects the continuing move by British groups to quit the local market. Whether the Lumley decision was prompted by the Aviva sell-off of its Australian and NZ general insurance operations – and the possible sale of Royal & SunAlliance’s local assets – is not known.

Reports in the London Sunday Times and the Observer say the foundering British R&SA parent company will put its entire Australian and NZ assets up for sale to raise more capital. An announcement is expected in the next 36 hours, when the company announces its third-quarter results.